Intro to IEOs, How they Differ from IPOs & Why We MUST Be Careful with IEOs?
As with many of the new methods, the IEOs are not as straightforward and easy to corroborate as IPOs. There is a lot you need to know about the pros and cons of IEOs so that you do not fall into traps. Here are some good things about IEOs;
- Increased investor confidence
- Security for investors and token issuers
- The process is frictionless
- The exchange listing is guaranteed
- There are no scams because the issuers are not anonymous
- Benefits for projects and exchanges
However, they are also not that good because:
- The number of investors is limited
- The regulations and restrictions are not very clear
- All investors have to comply with AML/KYC, which takes away privacy
- Bots may be used to beat out human investors
It is always good to go deeper and do the research that will enable you to have all the important information that will keep you safe from things that you may not have anticipated.


